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Zelio E-Mobility builds affordable EV brand for small towns

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Zelio E-Mobility logo
Date
Company
Zelio E-Mobility
What it does
Low-speed electric two-wheeler maker
Kind
News
Based in
Hisar
Founded
2021
Sector
Mobility & Logistics

What they do

Zelio makes low-speed electric scooters capped at 25 kmph, priced between ₹40,000 and ₹55,000

What happened

Founded in 2021 by Kunal Arya, the company now operates in over 25 states with 300+ dealers

Why it matters

Its scooters target students, elderly, and rural users who don't need a licence or insurance

The details

  • Kunal Arya entered the EV space as a dealer in 2019, starting with electric scooters in Hisar.
  • He was Hisar's top dealer of Yo Bikes before founding Zelio.
  • In 2021, Arya traveled to China to study components and design limitations.
  • Zelio E-Mobility was incorporated in 2021 with a focus on quality control.
  • Zelio targets the low-speed electric two-wheeler segment, capped at 25 kmph.
  • Its scooters don't require a licence, registration, or insurance.
  • Zelio expanded from Haryana to seven states in its first year, 18 states by 2023, and now over 25 states.
  • The company has a dealer network of over 300 partners with low churn.

The bigger picture

  • India's EV market is $2.13 billion, growing at 29.09% annually.
  • The two-wheeler EV market is $1.6 billion, growing at 28.34% annually.
  • Zelio's low-speed scooters cost less than half of most high-speed electric scooters.
  • In 2023, Zelio doubled warranty on key components to two years, unusual in the low-speed segment.

About the business

  • Zelio makes low-speed electric scooters capped at 25 kmph.
  • Scooters are priced between ₹40,000 and ₹55,000.
  • Customers include students, elderly users, women, and households in Tier II/III cities and rural areas.
  • Zelio offers more than a dozen models tailored to different age groups.
  • By 2023, 20-30% of components were locally sourced, aiming for 70-80% in three years.
  • The company has a six-acre manufacturing facility in Hisar with annual capacity of 72,000 units.
  • Zelio is building a separate facility for its three-wheeler business under the 'Tanga' brand.

What happens next

  • Zelio plans additional manufacturing units in Odisha and other regions to reduce logistics costs.
  • It aims to increase local sourcing to 70-80% over the next three years.

Founders

  • Kunal Arya, Founder

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